优刻得(688158) - 2024 Q2 - 季度财报

Definitions This section provides definitions of key terms used in the report Company Profile and Key Financial Indicators This section introduces UCloud Technology Co., Ltd.'s basic information and presents its key accounting data and financial indicators Company Basic Information This chapter provides basic information about UCloud Technology Co., Ltd., including its Chinese and English names, legal representative, registered and office addresses, website, and contact details Company Basic Information | Item | Content | | :--- | :--- | | Chinese Name | 优刻得科技股份有限公司 | | English Name | UCloud Technology Co.,Ltd. | | Legal Representative | Ji Xinhu | | Registered Address | Room 201, Building 10B, No. 619 Longchang Road, Yangpu District, Shanghai | | Company Website | https://www.ucloud.cn/ | Key Accounting Data and Financial Indicators In the first half of 2024, the company's operating revenue was 730.00 million RMB, a slight decrease of 1.26% year-on-year, while net loss attributable to shareholders significantly narrowed by 42% to 108.45 million RMB, driven by improved gross margin and reduced operating expenses Key Accounting Data (January-June 2024) | Key Accounting Data | Current Period (Jan-Jun) (RMB) | Prior Year Period (RMB) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 730,003,118.36 | 739,308,126.37 | -1.26 | | Net Profit Attributable to Shareholders | -108,449,573.73 | -188,166,087.17 | Not Applicable (Loss narrowed by 42%) | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) | -114,823,520.71 | -194,575,075.46 | Not Applicable | | Net Cash Flow from Operating Activities | 63,175,198.32 | 44,930,405.05 | 40.61 | | Net Assets Attributable to Shareholders | 2,524,667,865.87 | (End of Prior Year) 2,631,215,785.86 | -4.05 | | Total Assets | 3,549,249,521.15 | (End of Prior Year) 3,802,114,749.05 | -6.65 | Key Financial Indicators (January-June 2024) | Key Financial Indicators | Current Period (Jan-Jun) | Prior Year Period | Change | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | -0.24 | -0.42 | Not Applicable | | Weighted Average Return on Net Assets (%) | -4.21 | -6.53 | Increased by 2.32 percentage points | | R&D Investment as % of Operating Revenue (%) | 13.27 | 14.90 | Decreased by 1.63 percentage points | - Key drivers for performance improvement: - Gross Margin Enhancement: Comprehensive gross margin increased from 9.66% to 18.43%, primarily due to significant improvement in cabinet hosting business gross margin from 8.95% to 34.92%, and public cloud product gross margin from 11.01% to 18.53%[24] - Cost Control: Total sales, general, and administrative, and R&D expenses decreased by 14% year-on-year, mainly due to personnel optimization and reduced equity incentive expenses[24] Non-recurring Gains and Losses During the reporting period, the company's total non-recurring gains and losses amounted to 6.37 million RMB, primarily comprising 5.31 million RMB in government subsidies and 1.08 million RMB from disposal of non-current assets Non-recurring Gains and Losses Details | Non-recurring Gains and Losses Item | Amount (RMB) | | :--- | :--- | | Disposal gains/losses on non-current assets | 1,080,656.03 | | Government grants recognized in current profit/loss | 5,313,899.22 | | Reversal of impairment provisions for individually assessed receivables | 500,000.00 | | Other non-operating income and expenses | -559,608.98 | | Total | 6,373,946.98 | Management Discussion and Analysis This section provides an in-depth analysis of the company's industry, core businesses, technological advancements, competitive strengths, operational performance, and key risks Industry and Main Business Overview The company operates in the cloud computing industry, which is currently experiencing rapid growth in intelligent computing demand driven by AI large models, with the company actively expanding into data circulation platforms and AI products - Industry Trends: - AI-driven: AI large models are driving rapid growth in intelligent computing demand, with cloud computing evolving towards operating systems for large-scale distributed applications[29] - Market Expansion: China's cloud computing market size is projected to exceed 2.1 trillion RMB by 2027[33] - Technological Breakthroughs: Key technological trends focus on “multi-core cloud,” platform engineering, system stability, and cloud-native security[35] - Multi-cloud Deployment: Multi-cloud deployment is becoming a significant future trend for risk control and ecosystem coverage[36] - The company's main businesses include public cloud, private cloud, and hybrid cloud services, alongside new offerings like the "Security House" data trusted circulation platform and AI products for AIGC, such as the "Kongming" intelligent computing platform, UModelverse model service platform, and UPFS parallel file storage product[40][44][45] Core Technologies and R&D Progress The company heavily relies on technological innovation, possessing core technologies in elastic computing, network, storage, and AI computing platforms, with 96.84 million RMB in R&D investment and 220 intellectual property rights as of the reporting period R&D Investment | Item | Current Period (RMB) | Prior Year Period (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Expensed R&D Investment | 96,844,006.82 | 110,141,789.03 | -12.07 | | Total R&D Investment | 96,844,006.82 | 110,141,789.03 | -12.07 | | Total R&D Investment as % of Operating Revenue (%) | 13.27 | 14.90 | Decreased by 1.63 percentage points | R&D Personnel | Item | Current Period (Persons) | Prior Year Period (Persons) | | :--- | :--- | :--- | | Company R&D Personnel Count | 381 | 426 | | R&D Personnel as % of Total Company Staff (%) | 43.54 | 49.02 | - As of June 30, 2024, the company had accumulated 220 intellectual property rights, including 102 invention patents and 108 software copyrights[52] - Key ongoing R&D projects include the proprietary cloud platform, AI computing platform, AIGC projects, and third-generation network models, with a total estimated investment of 98.43 million RMB and 22.67 million RMB invested in the current period[63] Core Competitiveness Analysis The company's core competitiveness stems from its precise market positioning, user-driven R&D strategy, leading operational strategy, forward-looking international expansion, and excellent customer service capabilities - Market Positioning: Adheres to a neutral principle, avoiding competition with clients, especially in AI large models, e-commerce, and social networking, ensuring client data security and privacy[66] - R&D Strategy: User-demand oriented, with R&D investment consistently above 13% of revenue, launching products like Kongming Intelligent Computing Platform and UCMP for AI and hybrid cloud management[67] - Operational Strategy: Established a "CBA" (Cloud, BigData, AI) strategy as early as 2017, with a significant focus on the AIGC industry in 2023[68] - International Presence: Operates 31 availability zones across 24 regions globally, with comprehensive coverage particularly in Southeast Asia[69] - Customer Service: Provides "7x24-hour technical team online, 90-second rapid response" service, primarily through direct sales for quick response and customized solutions[70] Discussion and Analysis of Operations During the reporting period, the company focused on the new AIGC market, increased investment in intelligent cloud R&D, and made steady progress in data center construction and private/exclusive cloud expansion, with initial success in overseas business - Intelligent Computing and AIGC: Increased R&D investment in the AIGC sector, building intelligent cloud infrastructure and collaborating with ecosystem partners to establish domestic GPU intelligent computing clusters; Kongming Intelligent Computing Platform and UmodelVerse model service platform continue to upgrade, successfully selected as a "Computing Power Partner" by Beijing[73] - Data Center Construction: Steady progress in Ulanqab (Western Computing) and Qingpu (Eastern Data) self-built data centers; Ulanqab Intelligent Computing Center recognized as a "Typical Case of Intelligent Computing Center 2024 First Batch" by China Academy of Information and Communications Technology[74][75] - Private Cloud and Exclusive Cloud: UCloudStack private cloud products expanded into scenarios like domestic substitution and industry clouds, fully adapting to the Xinchuang ecosystem; exclusive cloud model established partnerships with multiple vendors, building an ecosystem[76][77] - Overseas Expansion: Signed strategic agreements with multiple overseas partners, showing initial results in overseas business[78] Risk Factors The company faces significant risks including sustained losses, impairment of core competitiveness, operational risks (intensified market competition, systemic security), industry risks (fluctuations in downstream internet clients), and macroeconomic risks (supply limitations of high-end GPUs due to international trade friction) - Risk of Sustained Losses: The company may continue to incur losses in the short term due to ongoing R&D and market investments, unfulfilled benefits from fundraising projects, and strict control over loss-making projects[80] - Operational Risks: Intense market competition may lead to continuous product price reductions; network facility failures and software/hardware vulnerabilities could result in business interruptions and data loss risks[82][83] - Macroeconomic Environment Risks: International trade friction and related bans (e.g., high-end GPU sales bans) may impact the company's supply chain and product sales[86] Major Operating Conditions During the Reporting Period This chapter details the changes in financial statement items during the reporting period, including stable operating revenue, decreased operating costs and expenses, significant cash outflow from investing activities for fixed asset construction, and asset reclassification due to data center capitalization Financial Statement Item Variation Analysis | Item | Current Period (RMB) | Prior Year Period (RMB) | Change (%) | Primary Reason | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 730,003,118.36 | 739,308,126.37 | -1.26 | Contraction in edge cloud business offset by growth in cabinet hosting revenue | | Operating Cost | 595,453,580.53 | 667,908,355.96 | -10.85 | Resource optimization and integration | | Selling Expenses | 75,557,628.78 | 91,469,995.98 | -17.40 | Decrease in sales personnel compensation and equity incentive expenses | | R&D Expenses | 96,844,006.82 | 110,141,789.03 | -12.07 | Decrease in R&D personnel compensation and equity incentive expenses | | Net Cash Flow from Operating Activities | 63,175,198.32 | 44,930,405.05 | 40.61 | Decrease in cash paid for goods purchased | | Net Cash Flow from Investing Activities | -337,586,398.44 | -71,782,581.91 | -370.29 | Increase in cash paid for acquisition of fixed assets | Major Asset and Liability Status Changes | Item Name | Current Period End (RMB) | Prior Year End (RMB) | Change (%) | Primary Reason | | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 995,784,243.00 | 1,287,656,905.40 | -22.67 | Increase in net cash outflow from investing activities | | Fixed Assets | 1,406,599,485.73 | 1,207,159,414.15 | 16.52 | Capitalization of Ulanqab Data Center Phase II | | Construction in Progress | 280,339,506.26 | 483,155,302.39 | -41.98 | Capitalization of Ulanqab Data Center Phase II | Corporate Governance This section outlines the company's corporate governance structure, including shareholder meetings, changes in directors, supervisors, senior management, and core technical personnel, as well as equity incentive plans Shareholder Meeting Information During the reporting period, the company held two shareholder meetings, the first extraordinary general meeting of 2024 and the 2023 annual general meeting, with all proposals approved - Two shareholder meetings were held during the reporting period, with all proposals approved and no rejections[102][103] Changes in Directors, Supervisors, Senior Management, and Core Technical Personnel During the reporting period, Mr. Wang Kai and Mr. Cao Yu were elected as non-independent directors of the second board of directors, and Mr. Wang Kai's position was adjusted from Co-Chief Technology Officer (Co-CTO) to Chief Technology Officer (CTO) - The company elected Mr. Wang Kai and Mr. Cao Yu as non-independent directors of the second board of directors in January 2024[105] - The company adjusted Mr. Wang Kai's position from Co-CTO to CTO in January 2024[105] Equity Incentive Plan In April 2024, the company approved the "2024 Restricted Stock Incentive Plan (Draft)" and granted 9.20 million Class II restricted shares to 30 incentive recipients at 9 RMB per share in May - The company launched the 2024 Restricted Stock Incentive Plan, proposing to grant 9.20 million shares, approximately 2.03% of the total share capital[107] - On May 29, 2024, 9.20 million restricted shares were granted to 30 incentive recipients at a price of 9 RMB/share[107] Environmental and Social Responsibility This section details the company's environmental protection initiatives and social responsibility efforts Environmental Information The company has implemented various carbon reduction measures, including using energy-efficient air conditioning systems and waste heat recovery in data centers, and promoting green commuting and low-carbon office practices among employees - The company's carbon reduction measures include: - Using water source multi-split air conditioning systems in data centers and recovering waste heat for winter heating[108] - Encouraging employees to use green transportation and reduce private car usage[108] - Advocating low-carbon office practices among employees[108] Significant Matters This section covers significant matters including the fulfillment of commitments, major related-party transactions, significant contracts, and the progress of raised funds utilization Fulfillment of Commitments All commitments made during and continuing into the reporting period, including those related to initial public offering share lock-ups, resolution of horizontal competition, related-party transactions, and equity incentives, have been strictly and timely fulfilled - The company's actual controller, shareholders, and the company itself strictly fulfilled all commitments related to the initial public offering and equity incentives during the reporting period[111] Major Related-Party Transactions The company anticipates daily related-party transactions of 546 million RMB for 2024, and has fully provisioned for a 1.10 million RMB related-party receivable (including interest) from its associate, Shanghai Heng Hong Technology Co., Ltd - The company estimates daily related-party transactions for 2024 to be 546 million RMB[127] - The company has a 1.10 million RMB loan and interest receivable from its associate, Shanghai Heng Hong Technology Co., Ltd., which has not yet been repaid, and a full impairment provision has been made[129] Major Contracts and Their Performance During the reporting period, the company performed several major contracts, primarily involving general construction and mechanical/electrical installation for data centers, and providing customized physical machine services to key clients, while also providing an 800 million RMB joint liability guarantee for its wholly-owned subsidiary Major Contract Performance | Contract Subject | Counterparty | Total Contract Amount (RMB) | Amount Performed in Current Period (RMB) | | :--- | :--- | :--- | :--- | | Ulanqab Data Center (Phase II) Civil Works General Contract | Supplier 1 | 209,580,000.00 | 9,472,290.10 | | UCloud Qingpu Data Center Project Civil Works General Contract | Supplier 3 | 187,888,656.78 | 24,572,411.59 | | Ucloud Golden Wing Customized Physical Machine Service Framework Contract | Client 1 | 63,651,844.33 | 10,432,380.00 | | Technical Service Contract | Client 2 | 75,000,000.00 | 11,165,148.65 | - The company provided an 800 million RMB joint liability guarantee for its wholly-owned subsidiary, UCloud (Shanghai) Data Technology Co., Ltd., valid until May 19, 2027; the total guarantee balance for subsidiaries at the end of the reporting period was 103 million RMB[134][135] Progress of Raised Funds Utilization As of the end of the reporting period, the cumulative investment progress for funds raised from the initial public offering was 84.42%, and for funds raised from targeted issuance was 67.99%, primarily allocated to multimedia cloud platforms, AI service platforms, and data center construction projects, with some adjustments or delays due to market or macroeconomic factors Overall Use of Raised Funds | Source of Raised Funds | Net Raised Funds (RMB) | Cumulative Investment as of Reporting Period End (RMB) | Cumulative Investment Progress (%) | | :--- | :--- | :--- | :--- | | Initial Public Offering | 1,839,925,000.00 | 1,553,316,400.00 | 84.42 | | Targeted Issuance of Shares | 691,286,300.00 | 469,975,300.00 | 67.99 | - The completion date for the "UCloud Qingpu Data Center Project (Phase I)" has been extended to January 24, 2026, due to macroeconomic environment impacts[144] - The company decided to terminate the "Big Data Platform Project" and reallocate the remaining raised funds to the "Artificial Intelligence Platform Project," pending shareholder approval[144] Changes in Share Capital and Shareholder Information This section details changes in the company's share capital, including the listing of restricted shares, and provides an overview of shareholder structure, including top shareholders and special voting rights Changes in Share Capital During the reporting period, the company's total share capital remained at 453.09 million shares, with a decrease of 23.43 million restricted shares and a corresponding increase in unrestricted tradable shares due to the listing of a portion of IPO restricted shares, reducing the proportion of restricted shares from 16.39% to 11.22% - On April 10, 2024, 23.43 million restricted shares from the company's initial public offering became tradable, representing 5.17% of the company's total share capital[149] - Due to Mr. Mo Xianfeng's resignation as a director, his 23.43 million special voting shares were converted to ordinary shares and became tradable on April 10, 2024[149][155] Shareholder Information As of the end of the reporting period, the company had 23,767 ordinary shareholders and 1 shareholder holding special voting rights, with Ji Xinhu, China Mobile Capital, Mo Xianfeng, and Hua Kun as the top four shareholders, holding 11.22%, 5.19%, 5.17%, and 5.17% respectively, and Ji Xinhu, Mo Xianfeng, and Hua Kun acting as parties in concert Top Ten Shareholders' Shareholding | Shareholder Name | Shares Held at Period End (Shares) | Proportion (%) | | :--- | :--- | :--- | | Ji Xinhu | 50,831,173 | 11.22 | | China Mobile Capital Holdings Co., Ltd. | 23,537,521 | 5.19 | | Mo Xianfeng | 23,428,536 | 5.17 | | Hua Kun | 23,428,536 | 5.17 | | Jiaxing Youliang Investment Partnership | 9,784,628 | 2.16 | Special Voting Rights Shares The company has an A/B share structure where A-shares have 5 votes per share and B-shares have 1 vote; as of the reporting period, only the actual controller, Ji Xinhu, holds A-shares, possessing 38.72% of voting rights with an 11.22% shareholding, while Mr. Hua Kun and Mr. Mo Xianfeng's special voting shares were converted to ordinary shares upon their resignation as directors Voting Rights Proportion (As of June 30, 2024) | Shareholder Name | Shareholding Proportion (%) | Voting Rights Proportion (%) | | :--- | :--- | :--- | | Ji Xinhu (Class A Shares) | 11.2187 | 38.7185 | | Other Shareholders (Class B Shares) | 88.7813 | 61.2815 | | Total | 100.0000 | 100.0000 | - Due to Mr. Hua Kun and Mr. Mo Xianfeng's resignation from their director positions, they no longer qualify to hold special voting rights, and all their shares have been converted to ordinary shares[161][163] Preferred Shares Information This section confirms the absence of preferred shares for the company during the reporting period Preferred Shares Information During the reporting period, the company had no preferred shares - The company has no preferred shares[167] Bond Information This section confirms the absence of bond-related information for the company during the reporting period Bond Information During the reporting period, the company had no company bonds, enterprise bonds, non-financial enterprise debt financing instruments, or convertible corporate bonds - The company has no bond-related information[168] Financial Report This section presents the company's unaudited financial statements for the reporting period Financial Statements This semi-annual financial report is unaudited; as of June 30, 2024, the company's total assets were 3.55 billion RMB, total liabilities were 1.02 billion RMB, and equity attributable to parent company owners was 2.52 billion RMB, with operating revenue of 730.00 million RMB and a net loss of 109.34 million RMB for the first half of the year Consolidated Balance Sheet Key Items (As of June 30, 2024) | Item | Amount (RMB) | | :--- | :--- | | Total Assets | 3,549,249,521.15 | | Total Liabilities | 1,018,535,091.71 | | Equity Attributable to Parent Company Owners | 2,524,667,865.87 | Consolidated Income Statement Key Items (January-June 2024) | Item | Amount (RMB) | | :--- | :--- | | Total Operating Revenue | 730,003,118.36 | | Total Operating Cost | 823,448,058.34 | | Total Profit | -105,050,834.47 | | Net Profit | -109,343,869.42 | | Net Profit Attributable to Parent Company Shareholders | -108,449,573.73 | Consolidated Cash Flow Statement Key Items (January-June 2024) | Item | Amount (RMB) | | :--- | :--- | | Net Cash Flow from Operating Activities | 63,175,198.32 | | Net Cash Flow from Investing Activities | -337,586,398.44 | | Net Cash Flow from Financing Activities | -17,104,996.67 | | Net Increase in Cash and Cash Equivalents | -291,872,662.40 |